KARACHI STOCK EXCHANGE-DAILY MARKET TREND: DAILY STOCK MARKET UPDATE: 28.11.2011

KARACHI STOCK EXCHANGE-DAILY MARKET TREND: DAILY STOCK MARKET UPDATE: 28.11.2011: Stock Karachi Stocks Down  149.93 Points: KARACHI, Nov 25: At close of trading, the KSE-100 index was at  11498.21 , down  149....

DAILY STOCK MARKET UPDATE: 28.11.2011

Stock

Karachi Stocks Down 149.93 Points:
KARACHI, Nov 25: At close of trading, the KSE-100 index was at 11498.21, down 149.93 points. (today 10.08 a.m.)

November 25, 2011

TOP  5  SCRIPTS GAINERS AND LOOSERS:

Nestle Pakistan	Rs 116.60	Siemens Pakistan	Rs (43.00)
Bata Pakistan	Rs 18.74	Colgate Pakistan	Rs (15.05)
Service Industries	Rs 8.06	National Refinery	Rs (6.30)
Clover Pakistan	Rs 2.57	Linde Pakistan	Rs (4.53)
Sitara Chemicals	Rs 2.41	Packages	Rs (4.22)

KSE 30 – Shares Index	Previous 11,058.59, Friday’s 10.932.00, minus 126.59 points.
KSE 100 – Shares Index	Previous 11,729.41, Friday’s 11,648.14, minus 81.27 points.
MARKET CAPITALIZATION	Previous Rs.3,052.340bn, Friday’s 3,032.141bn, minus 20.199bn.
VOLUME LEADERS	Fauji Fertiliser Bin Qasim 3.532m, Bank Al Falah 3.179m, OGDC 1.363m, Azgard Nine 1.362m, National Bank 1.233m shares.
TOTAL VOLUME	28.176m shares
TOTAL	TONE:easy,total listed 638,actives 309,inactives 329,plus 78,minus 123,unchanged 108

Stocks fail to sustain overnight rally

KARACHI: The shares market on Friday failed to sustain the overnight run-up as investors took profits at the inflated levels on oil and fertiliser sector owing to lack of follow-up support.

The benchmark index shed more points than it recovered overnight as the same set of bulls hastened to liquidate positions at the higher levels, pushing the market again into the minus column under the lead of leading base shares.
The net fall was of the order of 81.27 points at 11,648.14 points as compared to previous 11,729.41 points amid active late profit-selling in the pivotals after initial rise.
Analysts said investors seemed to be in two minds about the future market outlook and are not inclined to go beyond jobbing despite attractively lower levels most of the leading shares have attained, ensuring handsome quick capital gains.
“The turmoil in the foreign bourses owing to different reasons and the absence of investors may be one of the reasons behind the current sluggishness, but most of the local negative political news appear to be most pressing depressants,” said Ahsan Mehanti, a leading stock analyst commenting on the erratic market performance.
He said weekend profit-selling may have role in the easy market stance but the chief factor appears to be lack of investor will to keep the market going.
Another analyst Samar Iqbal said uncertainty on the memo issue kept the market under pressure as even the blue chip sector failed to demonstrate its relative strength.
Prominent gainers were led by Nestle Pakistan and Bata Pakistan, higher by Rs116.60 and 18.74, while among the top losers Siemens Pakistan and Colgate Pakistan were leading, off by Rs43 and 15.05.
Turnover figure dropped to a low level of 28.176m shares from the previous 51m shares as losers held an active lead over the gainers at 123 to 78, with 108 shares holding on to the last levels.
The active list was led by Fauji Fertiliser Bin Qasim, off Rs1.94 at 56.55 on 4m shares followed by Bank AL Falah, steady by two paisa at 12.01 on 3m shares, OGDC, off Rs1.34 at 153.21 on 2m shares, Azgard Nine, easy by two paisa at 3.43 on 1.362m shares, National Bank, off Rs1.07 at 42.10 on 1.233m, Engro Corporation, sharply lower by Rs4.87 at 126.40 on 1.137m and Fauji Fertiliser, lower by Rs3.16 at 172.36 on 1.113m shares.
They were followed by Arif Habib Corporation, lower 52 paisa at 28.67 on 1,113m shares, JS & Co, steady nine paisa at 5.63 on 1.030m shares and Lotte Pakistan, lower by 11 paisa at 10.06 on 0.788m shares.
FUTURE CONTRACTS: Both the settlements of Bank AL Falah were marked down by one and two paisa at 12.17 and 12.02 on 2m shares each, followed by Fauji Fertiliser Bin Qasim, off Rs2.05 at 54.45 on 1.219m shares.
They were followed by National Bank, lower by Rs1.11 at 42.51 on 0.882m shares and Engro Corporation, off Rs4.26 at 126.68 on 0.850m shares.
DEFAULTER COs: Stray business was reported on this counter under the lead of Genertech Power, easy by six paisa at 0.33 on 8,013 shares followed by Mukhtar Textiles, lower by 12 paisa at 0.17 on 2,519 shares and Redco Textiles, unchanged at 0.30 on 2,000 shares. Some others were also fractionally traded.

KSE sinking into bear cycle

KARACHI, Nov 26: In the absence of triggers, the Karachi Stock market drifted further down in the week ended on Friday.
Investors fearful of taking exposure, waited for positive developments. Imtiaz Gadar, at KASB Securities in his report argues that the year 2011 is likely to end as the “dullest year in KSE history”.
Not because of the minus 3.2 per cent return, but due to “frustrating range bound behaviour which limited opportunities for investors.”
To prove his point, the analyst ran figures of past two decades. Volumes this year have been at levels last seen in early 2000s.
Thin volumes not only hampered price discovery, they also restricted foreign investors, who usually are attracted to liquid markets. Advising investors to take exposure in sound fundamental stock stories, the analyst expects 2012 to be “more of the
same unless bottle necks are addressed.”
For four of the five sessions during the past week ended on Friday, KSE-100 index strayed into negative territory and lost 290 points or 2.43 per cent to close at 11,648 points.
Average daily volumes dipped 17.2 per cent to 34.4 million shares. One of the disconcerting factor for the local investors was the comparatively heavy foreign portfolio outflow of $3.84million during the week, compared to net foreign sell of $1.3
million the previous week.
“As far as market return is concerned, KSE-100 stood with a negative return of 1.01 per cent, year to date amid concerns over Capital Gains Tax return filing, in addition to the increased noise on political front in the country,” says Yawar Uz Zaman, analyst at InvestCap.
Naveed Tehsin, at JS Global also pointed to lacklustre activity at the local bourse during the week, which he blamed on the uncertainty surrounding the Pakistan Ambassador to the US and expectations of status quo in the monetary policy due on Nov 30.Moreover, IMF released its economic review of Pakistan highlighting macro-economic challenges owing to energy crisis and pressures on the external account. C/A deficit widened to $1.55billion in 4MFY12.
KASB analyst pointed out that the Pak-IMF talks on Article IV Consultation had concluded with the lender expressing concern over future macro indicators and reiterating the need for restructuring power sector and introducing fiscal reforms.
Talk of urea price cuts also did the rounds as fertiliser producers showed willingness to roll back prices by Rs100 per bag if gas supply stability was assured.
On Thursday, the market rebounded on two counts: Increase in wheat support prices to Rs1050 per 40kg and reports of exploration drilling in Zin Block with gas reserves potential.
But the analysts said: “We feel the impact of wheat support price rise will likely be muted as the quantity is below expectation and will not decisively affect crop planting decisions of farmers.”
Looking forward InvestCap expects market to remain depressed in the coming week owing to pressures on external front.
Rupee might further depreciate against dollar due to heavy outflows while increase in petroleum and gas prices could negatively impact inflation.
However, any positive change in the upcoming Monetary Policy Statement (MPS) would support market activity.
KASB stated that the near term market direction largely depended on the upcoming MPS as corporate news flow had dried up.
However, heading into the closing stages of the calendar year, the brokerage house thought that the activity should pick up on book adjustments, anticipation of results and payout announcements.
Progress on inter-corporate debt would also be keenly watched as a liquidity injection might be needed soon.
In the absence of volumes, investors were likely to attach greater importance to foreign inflows.
The question that sat on minds of most retail investors was: Would foreign investors look back on cheaper valuation of equities and stage a comeback?

Mohammed Saleem Mansoori

KARACHI STOCK EXCHANGE-DAILY MARKET TREND: DAILY STOCK MARKET UPDATE: 25.11.2011

KARACHI STOCK EXCHANGE-DAILY MARKET TREND: DAILY STOCK MARKET UPDATE: 25.11.2011: Stock Karachi Stocks Minus  4.99 Points: KARACHI, Nov 24: At close of trading, the KSE-100 index was at  11724.42 , minus  4.99 ...

DAILY STOCK MARKET UPDATE: 25.11.2011

Stock

Karachi Stocks Minus 4.99 Points:
KARACHI, Nov 24: At close of trading, the KSE-100 index was at 11724.42, minus 4.99 points..(today 10.22 a.m.)

November 24, 2011

TOP  5  SCRIPTS GAINERS AND LOOSERS:

Rafhan Maize	Rs 84.59	Nestle Pakistan	Rs (51.04)
Bata Pakistan	Rs 24.93	Hinopak Motor	Rs (4.32)
Pakistan Oilfields	Rs 7.30	Shahtaj Sugar	Rs (4.00)
Fauji Fertiliser	Rs 7.22	Packages	Rs (2.97)
Attock Petroleum	Rs 6.25	Habib Bank	Rs (2.81)

KSE 30 – Shares Index	Previous 10,916.87, Thursday’s 11,058.59, plus 141.72.
KSE 100 – Shares Index	Previous 11,633.97, Thursday’s 11,729.41, plus 95.44 points.
MARKET CAPITALIZATION	Previous Rs.3,028.621bn, Thrusday’s 3,052.340bn, plus 23.719bn.
VOLUME LEADERS	Bank AlFalah 8.073m, Fauji Fertiliser Bin Qasim 5.891m, J.s.& Co 3.405m, Agard Nine 3.344m, Fauji Fertiliser 3.317m shares.
TOTAL VOLUME	50.796m shares
TOTAL	TONE:steady,total listed 638,actives 321,inactives 317,plus 129,minus 103,unchanged 89

Karachi Stocks stage snap rally of 95 points

KARACHI, Nov 24: The stock market on Thursday staged a snap rally boosted by active short-covering in the feriliser and oil sectors at the lower levels amid relatively improved turnover.
The entire market seemed to have been carried out by heavy short-covering in the index heavy-weight OGDC followed by reports of fresh oil and gas discovery and by the fertiliser sector under the lead of Fauji Fertiliser, Engro Corporation and Fauji Fertiliser Bin Qasim, which virtually raced towards their pre-reaction levels, analysts said.
The KSE 100-share index recovered 95.44 points at 11,729.41 as compared to 11,633.97 a day earlier, more than a half of which was contributed by the OGDC. Each rise of one rupee in OGDC adds 16 points to the index. It rose by Rs2.50.
Floor brokers said apart from positive news from the oil sector, there was nothing special to which the snap rally could be attributed except an attractively lower level reached by most of the current favourites.
“The market was in a highly oversold position owing to last couple of sessions’ persistent fall and needed correction and that came in the form of covering purhchase,” some others said.
They said most of the lading shares, which ensure quick gains were in the firing range and only fools could miss them and leading among them acted in a bit haste, pushing the market again into the plus column.
But they doubted the snap rally could be sustained as news from the political front were not that friendly which could trigger fresh profit-taking at the current rise.
Leading gainers dominated the list under the lead of Rafhan Maize and Bata Pakistan, up Rs84.59 and 24.93, while top losers included Nestle Pakistan and Hinopak Motors, off Rs51.04 and 4.32, respectively.
Turnover figure rose to 50.796m shares from the previous 34m shares as gainers held a comfortable lead over the losers at 129 to 103, with 89 shares holding on to the last levels.
The active list was again topped by Bank AL Falah, steady by four paisa at 11.99 on 8m shares followed by Fauji Fertiliser Bin Qasim, up Rs1.34 at 58.49 on 6m shares, JS & Co, firm 14 paisa at 5.54 on 4m shares, Azgard Nine, steady by 11 paisa at 3.45 on 3m shares, Fauji Fertiliser, sharply higher by Rs7.22 at 175.52 also on 3m shares, Fatima Fertiliser, firm by 46 paisa at 23.03 on 3m shares, and Engro Corporation, higher by Rs2.66 at 131.27 on 2m shares.
They were followed by Lotte Pakistan, firm by seven paisa at 10.17 on 2m shares, OGDC, higher by Rs2.50 at 154.55 also on 2m shares and Arif Habib Corporation, up 50 paisa at 29.19 on 1.389m shares.
FUTURES CONTRACTS: Both the settlements of Fauji Fertiliser Bin Qasim recovered Rs1.32 and 1.30 at 58.58 and 56.50 on 1.022m and 0.985m shares respectively, while Fauji Fertiliser rose by Rs6.71 at 177 on 0.694m shares and its November B contract rose by Rs6.79 at 175.28 on 0.536m shares.
Azgard Nine rose by five paisa at 3.49 on 0.577m shares.

KSE immune to global market downturn

KARACHI, Nov 24: The Pakistan equity market is insulated to a large extent from the free fall in stocks in the world markets.
All participants may not agree with that assertion as the KSE has taken a big dip in the last week and first few sessions of the current trading week. But optimists, such as Faisal Shaji at Standard Capital Securities, are strong proponent of the immunity from other markets, based on low price-to-earnings (p/e) multiple of local stocks; a mouth-watering high yield and no exposure to the western markets.
The free-float based KSE-30 index yields p/e of 7.7 times, whereas the widely followed KSE-100 index trades at p/e of 8.6 times.
“This is the reason that the local market has not seen the kind of freefall, which the Indian bourses have experienced on the issue of European debt crisis,” says the analyst.
Pakistan has virtually no exposure in western markets whereas Indian businesses and financial sectors are strongly linked with outside world, which was why the Reserve Bank of India (RBI) had shown its inability to grapple with its own freefalling rupee against US$ (the Indian currency depreciated by more than 15pc; Indian Rupee reached 52 against US$). Despite being 3rd largest Asian economy and growing at a much faster pace for nearly a decade, Indian economy is pretty vulnerable to international crisis as opposed to this country. “Pakistan is an effervescent economy which can ‘unexpectedly’ rise just in case there is some improvement in ‘certain’ variables,” says Shaji.
Many of the local stocks, particularly in the oil & gas exploration sector could show ‘double digit’ earnings growth of as high as 30 per cent in FY12, but are ‘underperformers’.
A particular big private bank showed 9-10 per cent earnings growth in CY11 alone and provided cumulative annual dividend of 10 per cent, yet its stock is under pressure due to hasty selling by foreign investors.
Brokerage Standard Capital said it believed Pakistan provided immense opportunity to forward looking ‘smart’ investors who may want to make 3-5 months gain based on some of the cheapest valuations of big ticket local stocks in Oil & gas production and exploration; fertiliser, banking, cement, selected refineries and others.
The analyst sets aside the political upheaval, domestic issues and low volumes, as issues that could only be fearful to nervous investors.
Pakistani stock prices were already low and very much ‘factored’ into low p/e trajectory as against regional markets where risks were supposed to be lower.
On the basis of expected earnings the current low prices were thought to provide opportunity to buy.
Some other oddities born out of investor nervousness were identified as the only DAP producer trading at just 4.5 times earnings and its parent fertiliser giant at a hugely discounted 7 times forward earnings.
In cement, the biggest cement company was venturing into the African markets, which currently was regarded as one of the highest growth and investment destinations, but was trading at a paltry p/e of 5 times earnings. Shaji’s report ends.
It is difficult to sift investors for and against the above arguments. Brokers and analysts would obviously sell optimism, for their livelihood depends on it, but even the ardent detractors have been silenced for a moment by the KSE-100 pull back by 95 points on Thursday, in spite of continuous and slow foreign sell. On Thursday, the foreign net sell was witnessed at $1.48 million.

Mohammed Saleem Mansoori

KARACHI STOCK EXCHANGE-DAILY MARKET TREND: DAILY STOCK MARKET UPDATE: 24.11.2011

KARACHI STOCK EXCHANGE-DAILY MARKET TREND: DAILY STOCK MARKET UPDATE: 24.11.2011: Stock Karachi Stocks Up  93 Points: KARACHI, Nov 24: The KSE-100 index was at  11727 , up  93 points.(today 12.45 p.m.) N...

DAILY STOCK MARKET UPDATE: 24.11.2011

Stock

Karachi Stocks Up 93 Points:
KARACHI, Nov 24: The KSE-100 index was at 11727, up 93 points.(today 12.45 p.m.)

November 23, 2011

TOP  5  SCRIPTS GAINERS AND LOOSERS:

Unilever Pakistan	Rs 40.30	Nestle Pakistan	Rs (144.76)
Bata Pakistan	Rs 34.73	Siemens Pakistan	Rs (14.89)
Colgate Pakistan	Rs 24.00	Al-Ghazi Tractors	Rs (6.69)
Linde Pakistan	Rs 1.57	Attock Petroleum	Rs (5.75)
Exide Pakistan	Rs 1.54	P.S.O.	Rs (3.94)

KSE 30 – Shares Index	Previous 121,045.87, Wednesday’s 10,916.87, minus 129.00 points
KSE 100 – Shares Index	Previous 11,767.00, Wednesday’s 11,633.97, minus 133.03 points
MARKET CAPITALIZATION	Previous Rs 3,061.240bn, Wednesday’s 3,028.621bn, minus 32.619bn
VOLUME LEADERS	Bank AlFalah 3.307m, Azgard Nine 2.270m, Lotte Pakistan 2.063m, TRG Pakistan 1.997m, Fauji Fertiliser Bin Qasim 1.809m shares.
TOTAL VOLUME	33.565m shares
TOTAL	TONE; bearish,total listed 638, actives 310, inactives 328, plus 69, minus 159, unchanged 82

KSE 100-share index loses 133 points

KARACHI: The shares market on Wednesday fell further lower followed by active selling at the higher levels on blue chip counters amid relatively slow demand even at the decline.
The KSE 100-share index suffered a fresh fall of 133.03 points or 1.13 per cent at 11,633.97 as compared to 11,767.00 a day earlier as leading base shares, notably National Bank, Nishat Mills, Fauji Fertiliser, Fauji Fertiliser Bin Qasim and some others remained under pressure.
Conflicting rumours about the discount rate in the next week’s central bank meeting and the changing political scenario dominated trading, and as a result leading investors were not inclined to take fresh positions even at the falling prices, some analysts said.
However, the current sell-off was over extended beyond its technical mandate and the recovery, which should have made strong showing, still appears to be shy, they added.
Most of the blue chips, notably in the fertiliser and oil sectors were still in the firing range owing to available margins and led the bears to further marking down of prices, floor brokers said.
“But selling was terribly small and in no way reflected that bears have resumed technical buying in an oversold market and the current investor hesitancy is now overdone,” they added.
Price changes were mostly fractional and reflected lack of support even at the falling prices and much of the activity remained confined to most of the second-liners.
Prominent gainers were led by Unilever Pakistan and Bata Pakistan, up by Rs40.30 and 34.73,while leading losers included Nestle Pakistan and Siemens Pakistan, off  by Rs144.76 and 14.89, respectively.
Volume figure showed a modest rise at 33.565m shares from the previous 28.368m shares, but losers held a strong lead over the gainers at 159 to 69, with 82 shares holding on to the last levels.
The active list was topped by Bank Al Falah, steady by five paisa at Rs11.95 on 3.307m shares followed by Azgard Nine, lower 34 paisa at 3.34 on 2.270m shares, Lotte Pakistan, easy 22 paisa at 10.10 on 2.063m shares, TRG Pakistan, lower eight paisa at 1.40 on 2m shares, Fauji Fertiliser Bin Qasim, off 89 paisa at 57.15 on 1.809m shares, Fauji Fertiliser, lower by Rs2.51 at 168.30 on 1.646m shares, and Fatima Fertiliser, easy by 21 paisa at 22.57 on 1.363m shares.
They were followed by National Bank, off 75 paisa at 42.95 on 1.286m shares, Nishat Mills, lower by 73 paisa at 42.31 on 1.137m shares and PTCL, firm by nine paisa at 10.69 on 081m shares.
FUTURE CONTRACTS: Speculative issues on the forward counter also followed the lead of their counterparts and fell under the lead of Azgard Nine, easy by 17 paisa at Rs3.44 on 0.848m shares followed by National Bank, off 79 paisa at 43.00 on 0.790m
shares, while its December contracts fell by 74 paisa at 43.50 on 0.450m shares.
Both the contracts of Fauji Fertiliser Bin Qasim were quoted lower by 67 and 74 paisa at 55.20 and 74 paisa at 57.26 on 0.678 and 0.630m shares respectively.
DEFAULTER COS: Service Fabrics came in for active support and rose by 12 paisa at 0.25 on 21,500 shares followed by SS Oils, unchanged at 4.50 on 1,000 shares and Pak PVC, also unchanged at 4.08 on 201 shares.
DIVIDEND: The directors of United Brands, Dadabhoy Constractions, Dadabhoy Sack and Dadabhoy Cement have passed over the dividend for the last year ended June 30.
BOARD MEETINGS: Hala Enterprises, Ittefaq General Insurance, on Nov 28, Exide Pakistan on Nov 29, TFC Saudi Pak Leasing Company on Dec 9.

Mohammed Saleem Mansoori